In Texas, you have two main options to recover lost income after such an incident:
1- Pursuing Compensation from the At-Fault Driver
You may seek reimbursement for your lost wages by filing a claim with the insurance company of the driver who caused the wreck. If the driver’s insurer won’t offer fair compensation, then you may need to file a personal injury lawsuit.
To develop a strong lost wages claim, you’ll need evidence documenting the amount of your lost income and showing that the wreck resulted from the other driver’s negligent actions. A personal injury lawyer can gather your paycheck records and prior year tax returns to prove your lost income. It’s also important to preserve evidence after a crash by doing the following:
- Exchanging contact and insurance information with the other drivers involved in the car accident
- Calling 911 to report the wreck
- Getting the names and contact information of witnesses and recording their statements if they allow you to do so
- Taking photos of the accident scene, making a point of covering it from multiple angles
- Taking pictures of your injuries
- Seeing a doctor promptly for a medical evaluation even if you don’t believe you have serious injuries. A doctor’s report documents your injuries
It’s also important to watch what you say after a crash. Apologizing to anyone at the scene of the wreck could suggest that you believe you caused it. In addition, you shouldn’t try to minimize your injuries or say you’re “fine” when anyone asks if you’re injured. You could be injured in a crash without knowing it right away. If you say you’re unharmed, an insurer might use this statement later to argue that you don’t deserve the compensation since your own statements indicate your injuries are serious.
Seeking What Is Rightfully Yours
Losses for which you might seek compensation in a personal injury claim after a wreck come in two main forms:
- Economic
- Non-economic
Lost wages are economic losses because they have an exact dollar value. A pure economic loss is one that is exclusively financial and doesn’t relate to other types of losses that an injured person may suffer after a collision.
Losing income after a crash can make paying your medical bills even more challenging. Texas law allows you to seek compensation for loss of wages if the crash occurred because of someone else’s carelessness.
Missed Income
Missed income consists of income you didn’t receive because you were unable to work due to your injuries. Examples of income you might not receive if you miss work due to injuries include:
- Hourly wages
- Base pay
- Overtime pay
- Commissions
- Bonuses/raises you were eligible for prior to the crash
Income may also include benefits you lost as a result of your inability to work. Accounting for all relevant losses after a wreck is essential when seeking compensation.
Future Earning Potential
Serious injuries can leave you unable to work indefinitely. Such injuries may place significant long-term limitations on your earning potential.
Future earning potential is another type of loss for which you might seek compensation after a wreck. Calculating future earnings you would have received if you had not been hurt can be a complex process. It may involve accounting for such factors as:
- Your pay before the collision
- Your age
- Your prospects of advancing in your career and earning more money
- Your health and related factors influencing how many more years you were likely to work
Building a Strong Case
Building a strong case requires evidence that another driver caused your wreck and documentation of lost wages and/or lost earning potential. Examples of documentation that may strengthen a claim for lost wages include:
- Medical records
- Notes from doctors confirming that your injuries are severe enough to prevent you from working
- Pay stubs
- Letters from employers
- Tax returns
The specific type of documentation you need depends on the nature of your employment situation. For example, if you’re a freelancer, you might need to provide letters from clients indicating you’ve been unable to serve them after being injured, as well as copies of your schedule of upcoming work, invoices outstanding, and accounts receivable.
2- Utilizing Personal Injury Protection (PIP) Insurance
Losing income as a result of a serious accident can cause financial stress. It can be challenging to pay your household bills without a reliable income.
Insurance companies that sell auto insurance in Texas are required to include Personal Injury Protection (PIP) coverage in the package. All auto insurance policies include PIP unless you specifically decline this coverage in writing.
PIP insurance covers your initial medical expenses and pays 80 percent of your lost wages up to the policy limits, regardless of who caused the accident. You file a claim with your own insurance company to access PIP benefits. PIP is a good option to get some cash flowing quickly if you have lost income. PIP probably won’t cover all your medical expenses if you have serious injuries. You’ll need to consider other options as well.
Understanding the Limitations
Texas law doesn’t limit the compensation you may receive for lost wages. However, the method through which you seek compensation for lost wages may have limitations.
For example, under your PIP coverage, the policy limits might determine how much compensation you can expect to receive. You may have to file a personal injury lawsuit to pursue more compensation.
Limited Duration
Talk to an experienced personal injury lawyer about the timetable for filing a lost wages claim. You will need to reach maximum medical improvement before you can have your medical expenses and lost wages calculated accurately. Insurance companies may require you to file claims by certain deadlines. A personal injury attorney will submit your claim to the insurance company and seek to negotiate a fair settlement on your behalf. If the insurance company refuses to agree to a fair settlement, you may need to file a personal injury case.
In addition, the statute of limitations for car accident lawsuits in Texas allows only two years for you to take legal action after a crash.
Capped Amount
Texas law may not limit the amount of money you may receive for compensatory losses after a motor vehicle crash. However, if your case goes to trial, a jury could award punitive damages in special cases if the at-fault driver’s behavior was especially outrageous.
Punitive damages are intended to punish the wrongdoer and deter similar behavior in the future. Punitive damages are capped under Texas law at twice the amount of economic damages plus the same amount of money the jury awarded for non-economic damages, up to a certain amount.
Get Legal Help from Our Experienced Attorneys Near You
If you have been seriously injured in a car accident caused by another motorist in the Dallas metroplex and have lost wages as a result, you are likely experiencing financial stress. You should seek an experienced Dallas car accident lawyer. At Kraft & Associates, Attorney at Law, P.C., our Dallas personal injury lawyers are ready to assist you.
If we handle your case, we will seek maximum compensation for you. We will not charge you a dime unless we are successful in recovering money for you through an insurance settlement or court award. Learn more about how our team can help by contacting us online or calling us at (214) 999-9999 for a free case review.
